Topic: How To Invest

The Successful Investor Hotline – Friday, May 19, 2023

Article Excerpt

EMERA INC., $57.00, Toronto symbol EMA, is a buy. The company owns 100% of Nova Scotia Power, that province’s main electricity supplier. It also owns 100% of Tampa Electric, which provides electricity to more than 765,000 customers. Its other interests include several power plants and natural gas pipelines in the U.S. and the Caribbean. The company’s revenue in the three months ended March 31, 2023, rose 20.7%, to $2.43 billion from $2.02 billion a year earlier. That topped the consensus forecast of $1.98 billion. If you factor out $217 million in accounting gains from its energy trading business, revenue in the quarter increased $201 million, or 10.0%. That increase is mainly due to higher power and gas rates at its operations in Tampa and New Mexico, as well as favourable foreign currency rates. The higher revenue also increased the company’s earnings (before unusual items) in the quarter by 7.6%, to $0.99 a share from $0.92. That also beat the $0.94 consensus estimate. Emera plans to…